The case involves an appeal by Vladimir Sakotic against the FIDE World Chess Federation (FIDE) regarding a decision by the FIDE Ethics Commission (EC) that found him in violation of Article 2.2.2 of the FIDE Code of Ethics. The EC suspended Sakotic for three years from holding any office or position within FIDE, participating in FIDE meetings, or representing any organization in relation to FIDE. The appeal was brought before the Court of Arbitration for Sport (CAS), which examined procedural matters, the standard of proof, and the proportionality of the sanction. The case arose from Sakotic’s involvement in the organization of the 2013 European Youth Chess Championship, where he facilitated the transfer of organizational rights to entities linked to his family without proper authorization, leading to allegations of conflict of interest and lack of transparency.
The CAS clarified that the standard of proof applicable was "comfortable satisfaction," a middle ground between "beyond reasonable doubt" and "balance of probabilities." It upheld the EC’s finding that Sakotic violated ethical standards by undermining trust and confidence, though no direct financial harm was proven. The CAS reduced Sakotic’s suspension from three years to eighteen months, citing insufficient evidence to conclude he was the mastermind behind the alleged scheme. The ruling emphasized that the violation stemmed from Sakotic’s conduct, including the opaque transfer of rights and the diversion of a deposit fee, rather than proven financial misconduct. The CAS also dismissed claims of procedural unfairness, noting that its de novo review cured any potential irregularities in the initial proceedings.
The case highlighted broader issues of governance and transparency in chess administration, particularly the need for officials to avoid conflicts of interest and uphold fiduciary duties. While the CAS found Sakotic guilty of ethical breaches, it did not exonerate him of other allegations, such as operating offshore companies or siphoning funds, due to lack of conclusive evidence. The final decision imposed an 18-month suspension, effective from October 2016 to April 2018, barring Sakotic from FIDE-related roles but allowing him to participate in other chess activities. The ruling underscored the importance of ethical conduct in sports governance and the CAS’s role in ensuring fair disciplinary measures.